USD/CHF rejected near 1.0200 handle, turns flat

Having posted a session peak at 1.0192 level, the USD/CHF pair erased all of its early gains and is now trading nearly unchanged from Friday's closing level, around 1.0170 region.

The greenback witnessed a fresh wave of profit-taking after Friday's sharp up-move, with the key US Dollar Index reversing daily gains, hindered the pair's recovery move just below 1.0200 handle. Moreover, a mildly cautious sentiment surrounding European equity markets also seems to be driving safe-haven flows towards the Swiss Franc and collaborating to the pair's retracement from session peak. 

In absence of any major economic releases, market expectations of Fed rate-hike actions in 2017 would remain a key determinant of the pair's movement. Hence, investors now shift their focus on speeches from various Fed officials, including the Fed Chair Janet Yellen, which would provide fresh insight over the Fed's near-term monetary policy stance and eventually help determine the next leg of directional move for the major. 

On Monday, speeches from Fed's Rosengren and Lockhart might provide some impetus for short-term traders later during NY session. 

Technical levels to watch

A follow through selling pressure below 1.0160 immediate support is likely to accelerate the slide further towards 1.0120-15 support area ahead of 1.0100 psychological mark. On the upside, 1.0200 handle remains immediate barrier, which if cleared decisively has the potential to lift the pair immediately towards 1.0230-35 resistance area en-route 1.0270-75 resistance.